Corn prices hits Tyson's bottom line

kfsn

By ABC30

FRESNO, Calif.

Corn prices are becoming a headache for Tyson -- the giant chicken, pork and beef producer. Tyson says its shares are down 16-percent this year.

The reason? More of the U.S. corn crop is now going to ethanol instead of animal feed and drought is killing off what is left over. Ag officials say corn prices are more than double what they were in 2006.

Right now, Tyson is substantially cutting its costs and debt to avoid losing any more money.